E3 2011: Nintendo Wii U delights gamers, scares investors

At E3 and in Japan, there's disagreement over whether the Wii U, Nintendo's new console, will change gaming forever or completely flop. With many months, and likely another E3, before the Wii U launches, there's still much to learn about the new system.

Shuji Hosoi, analyst at Daiwa Securities Co., said it was unclear how successfully the machine would compete against smartphones and tablet PCs, when device-based gaming was already having to vie against social networks.

"But it would be extremely difficult because the competition is so intense," he said, referring to products such as the iPad from Apple Inc. and other rivals. "People have already changed."

The Japanese gaming giant behind Pokemon and Super Mario games said the Wii U will broadcast high-definition video and feature a touchscreen controller that can detect motion. Its price was not disclosed.